The long rumored merger between BHP Billiton and Rio Tinto has
captured special attention from Chinese steel manufacturers. The
two Australia-based companies are now the world's second and third
largest mining resource explorers.
On November 19, 2007, the China Iron and Steel Association
(CISA) expressed its worry over the merger, fearing it may lead to
monopoly in the world iron and steel market. CISA said China and
Australia have always maintained good relations with regard to iron
ore trades. It hopes that the Chinese steel manufacturers and
Australian mining resource explorers can join hands with each
other, bring benefits to both sides, and promote stable development
of Sino-Australian iron ore trade relations.
Currently, iron ore trades conducted by the world's top three
mining resource explorers account for more than 75 percent of the
world total. The merger between BHP Billiton and Rio Tinto would
exert a more negative impact on the global market since it is
already suffering from a concentration of resources. China is now
the largest iron ore importer in the world. Of its imported iron
ores, 38 percent comes from Australia.
For more details, please read the full story in Chinese. (
http://www.cnstock.com/newcjzh/headine/2007-11/20/content_2758778.htm)
(China.org.cn November 20, 2007)
